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Kumar completes $52m restitution payment for fraud at CA

Kumar completes $52m restitution payment for fraud at CA

CA exec makes final $US2 million payment

CA chief executive, Sanjay Kumar, has made the final $US2 million payment of the $52 million he owed in restitution for his involvement in a $2.2 billion accounting fraud at the software company, his attorney said.

"He's holding up just fine, and doing the best he can while taking courses and doing a few jobs while there," his attorney, Lawrence McMichael, said in a telephone interview.

"He's actually teaching courses although I'm not sure what," he added. "He's keeping very busy, trying to make a difference and is stuck there for the foreseeable future as he awaits his appeal."

Kumar is jailed at the federal Fairton Correctional Institution in south central New Jersey where he has an official release date of Jan. 25, 2018, according to the Bureau of Prisons website. Another attorney, Paul Schechtman, is seeking to reduce his prison term.

Kumar reported to prison in August, after he pleaded guilty to fraud and obstruction of justice in 2006. His final payment on the $52 million, made in late December, came a year early and ended a freeze that had been placed on his holdings, McMichael said. The federal government can still garnish 20 per cent of his wages, however.

Kumar's guilty plea reduced his original restitution of $1.02 billion to $52 million. Schechtman could not be reached for comment.


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